MM&P HOLIDAY CLOSING SCHEDULE

APL PARENT COMPANY NOL IN BUYOUT TALKS

Neptune Orient Lines (NOL), the parent company of MM&P-contracted APL, has confirmed that it is in discussions with CMA CGM and Maersk regarding a possible sale of NOL to one of the two ocean carriers.

Several other shipping lines have been mentioned previously as potential buyers for the company, which has been unprofitable since 2009, with the exception of a second quarter 2015 net profit of $890 million stemming from the sale of APL Logistics to a Japanese multinational, Kintetsu World Express.

Other carriers that have been mentioned as potential buyers for NOL are Hapag-Lloyd, Orient Overseas Carrier Line (OOCL), Pacific International Lines (PIL) and United Arab Shipping Company (USAC).

In recent years, APL’s parent company NOL has been forced to sell various assets to boost liquidity, including its corporate head office building in Singapore.

It should also be noted that Unfair Labor Practice Charges have been filed with the National Labor Relations Board against NOL’s American affiliate, APL, by four of its contracted unions, including MM&P, as well as contract claims for breach of contract. These issues remain unresolved as this edition goes to press.

NEW STUDY FINDS EXCESSIVE DEPENDENCE ON FOREIGN-FLAG SHIPS PUTS U.S. AT RISK OF “SEA STRANGULATION”

Never has the United States been so dependent on ships to carry its imports and exports. Yet never has America had fewer of its own ships to carry goods. The steady decline in the size of the U.S.-flag fleet, which now numbers fewer than 100 vessels in international trade, puts America’s competitiveness and maritime security at considerable risk. This is particularly true in light of the rapid expansion of China in terms of number of ships, number of mariners and ambitions of territorial and political expansion.

These are among the conclusions of a new report, “Sea Strangulation: How the United States Has Become Vulnerable to Chinese Maritime Coercion.” The report, authored by two professors at Hawai`i Pacific University, outlines threats to U.S. civilians and military personnel as a result of an over-dependence on the ships of other nations, in particular China, and simultaneous vulnerability caused by a dearth of American-flagged vessels in international trade.

Since 2010, as America continues to allow its own fleet to dwindle, The People’s Republic of China has nearly doubled the size of its own commercial fleet. Today almost 4,000 ships fly the Chinese flag. An increasingly aggressive China, the study warns, can use its growing domination of global shipping to enforce its strategic and military objectives, including the control and potential cut-off of military and civilian goods.

“The best and perhaps the only way we can counter the threat of ‘sea strangulation’ is to strengthen and expand the United States’ merchant marine,” the authors write.

“Few people realize that China does not need to launch a naval attack or conduct a blockade to harm us,” agreed MM&P President Don Marcus. “The economic power of China’s huge merchant marine, which gives it the ability to control shipping rates and service, has the potential to wreak havoc on our economy.”

The authors of the report are Carl Schuster, former director of operations at the U.S. Joint Intelligence Center Pacific, and Patrick Bratton, associate professor of political science at Hawai`i Pacific University.

The two say the United States “has adopted an ‘abandon ship’ policy towards the crucial merchant maritime industry,” by letting it shrink to its smallest size since the Spanish-American War. Only about 80 of the ships engaged in international trade across the world’s oceans are U.S.-flag carriers, compared with a Chinese deep sea merchant fleet of 3,900 ships.

The report has received coverage in a number of publications, including the Honolulu Star Advertiser, Marinelink, MarEx, Professional Mariner and Tradewinds.

ON THE DEEP TIES BETWEEN THE STRENGTH OF THE TRANSPORTATION SECTOR AND THE HEALTH OF THE MIDDLE CLASS

America’s transportation network is in desperate need of attention. Accidents linked to a lack of bridge maintenance are one obvious sign. Another, according to the AFL-CIO Transportation Trades Department (TTD) is a declining share of income flowing to members of America’s middle class.

This is the central theme of a TTD series that explores the connection between a robust transportation system and a strong middle class.

TTD President Ed Wytkind says the series is intended to “set the tone for a much-needed national conversation” on transportation, infrastructure and living standards in our country. MM&P is one of the 32 transportation sector labor unions that belong to TTD.

The most recent instalment in the series, which appears in The Huffington Post, focuses on high-speed trains.

“Around the globe,” TTD writes, “the race is on to bring the world’s fastest trains–which top speeds nearing 400 miles per hour–to commuters, travelers and business professionals alike. China is devoting billions… Japan is continually making improvements…” While in Europe “thousands of miles of high-speed rail track run from the south of Spain to Berlin, Oslo and Edinburgh.”

Meanwhile, the United States, once known for its transportation innovations, is struggling to catch up.

“Partisan bickering has sabotaged decades-long efforts to replace rail tunnels in the Northeast that were built 100 years ago and are in a shocking state of disrepair. And Acela, this country’s fastest passenger rail service, is only available to riders on the East Coast and the speed it reaches–150 miles per hour–pales in comparison to train service found abroad.”

“While the rest of the world moves forward with innovative transportation solutions that have the ability to easily connect people with major economic hubs, the United States is still relying on decades-old transportation systems,” TTD writes. “And it’s middle-class Americans who are paying the price. By not investing in faster trains, we’re missing out on a critical opportunity to transform communities, create high-skill jobs and improve the quality of life for millions.”

An economic impact study by the U.S. Conference of Mayors shows that in communities large and small, high-speed rail would increase economic development by improving market access, offering greater geographic connectivity, easing congestion and increasing tourism and business development.

TTD cites a project being implemented by California Governor Jerry Brown in the face of powerful political headwinds to create America’s most modern high-speed rail service by 2022. The initial phase of the new network will connect San Francisco to Los Angeles at speeds of 220 miles per hour, turning a six-hour trip by car into a breezy two-and-a-half hours by train.

By 2035, high-speed rail in California will lead to an estimated $7.6 billion in new business sales and $3 billion in new wages. The system will also ease severe highway congestion, reduce carbon emissions and preserve agricultural and protected lands.

Smaller communities can benefit from fast trains, too. Building high-speed rail in places like Albany, New York, with a population of just under 100,000, has the potential to produce $1.1 billion in new wages and create as many as 21,000 new jobs that will propel many into the middle class.

“Earth to Washington,” TTD notes: “first-rate economies don’t just pump funds into maintenance and upkeep of already-built transportation systems (although we don’t even do that very well either). They also invest in groundbreaking, new projects that give people the opportunity to thrive–and yes, be a part of an expanding middle class–in an environment where success depends on a safe, reliable and modern transportation network.”

To find out more about how high-speed rail and infrastructure improvements could boost middle class living standards in America, follow the TTD series in the Huffington Post: http://www.huffingtonpost.com/

SEN. BARBARA MIKULSKI RECEIVES AMERICA’S HIGHEST CIVILIAN HONOR

Sen. Barbara Mikulski, a powerful voice for the U.S.-flag fleet and America’s working families, is one of 17 Americans slated to receive the Presidential Medal of Freedom, America’s highest civilian award, at a ceremony today at the White House. The senator, the longest-serving woman in Congressional history and the first to head the powerful Senate Appropriations Committee, announced last year that she will not seek reelection when her current term finishes at the end of 2016. Mikulski has served in Congress since 1977.

AUSTRALIAN DOCK WORKERS BACK AT WORK 100 DAYS AFTER MASS FIRINGS

Dock workers who were fired more than three months ago by terminal operator Hutchison Ports Australia (HPA) are set to return to work after an agreement was reached between the Maritime Union of Australia (MUA) and HPA management.

It’s been 103 days since 97 workers were terminated in Brisbane and Sydney. Many learned they were being fired by messages that the company sent by text and e-mail.

Now, following several rounds of intense negotiation, an agreement has been reached which includes a substantial voluntary redundancy package for workers.

ITF President and MUA National Secretary Paddy Crumlin led the talks with HPA. He said the new agreement was testament to a more functional and mature approach to industrial relations than the company’s initial attempts to restructure their operations.

“Workers are essential to the productivity and good health of any successful enterprise,” Crumlin said. “They have a social and legal right to be treated with respect and decency regardless of commercial cycles.”

“Large multinational companies have a particular responsibility, due to their scale and inherent power, to have special regard to their treatment of their workers, and should meet the highest standards of meeting those moral responsibilities,” he added.

Crumlin thanked members of the ITF family and also International Dockworker Council (IDC) unions for their demonstrations of solidarity for the workers over the past three months.

TRANSPORTATION SECURITY OFFICERS ORGANIZE INFORMATIONAL PICKETS

Transportation security officers (TSOs) who belong to the American Federation of Government Employees (AFGE) have organized informational pickets at two airports, Miami International and St. Louis Lambert International, in preparation for contract talks that begin in December.

AFGE signed the first labor-management agreement with the Transportation Security Administration (TSA) three years ago. Since then, the union says, it has won numerous cases against TSA. The agency has responded by further limiting the range of topics AFGE is allowed to voice concerns about. The range of topics that can be addressed in negotiations with management is already limited as the union does not have the ability to negotiate over pay.

Other rallies will take place at Houston Intercontinental, Los Angeles International, Atlanta, Dallas/Ft. Worth, John F. Kennedy, and Newark airports over the next few weeks. If you encounter an informational picket, please take a minute to show your support.

UNITED AUTO WORKERS OPEN JOINT OFFICE IN TENNESSEE WITH GERMAN UNION

Germany’s largest trade union is opening a joint office with the United Auto Workers (UAW) in Tennessee to promote labor issues at German automakers and suppliers in the southern United States.

Frankfurt-based IG Metall estimates that 100,000 people work for German-owned automotive companies in the United States. Unlike at their parent companies’ factories in Germany, most of the U.S. workers aren’t represented by unions.

“IG Metall believes some German manufacturers are exploiting low-wage environments in the U.S. South, where working conditions–including health and safety situations–tend to be challenging for employees,” according to a statement released by the union.

The decision has been on the drawing board for some time. It comes on the heels of the fuel emission scandal at Volkswagen.

The new office will be located near the General Motors plant in the Nashville suburb of Spring Hill.

In related news, the United Auto Workers on Nov. 18 won a legal battle for an election to organize a small group of Volkswagen workers in Chattanooga, potentially offering the union its best chance yet to represent employees of a foreign automaker in the South.

The National Labor Relations Board (NLRB) sided with the UAW and against the German carmaker by setting Dec. 3 and 4 as election dates at the plant for 164 maintenance, or skilled trades, workers.

The union lost an election of nearly 1,400 blue-collar workers at the assembly plant in February 2014 by a margin of 712 to 626.

Volkswagen said it is reviewing the NLRB ruling and could decide to appeal.

#FRUITSOFLABOR

If you’re looking for a healthy, union-backed snack, the Labor411 directory includes over 200 fruits and veggies that will do the trick. These naturally tasty treats can be blended, juiced, steamed or just munched on for a quick, nutritious snack. These are your #FruitsOfLabor, so be creative and feel good knowing you are supporting good jobs, hard work and healthy eating.

NATIONAL WORLD WAR II MUSEUM IN NOLA OPENS MERCHANT MARINE GALLERY

The National World War II Museum has announced that the LTJG Ralph E. Crump Merchant Marine Gallery will open next month. The museum is a Smithsonian affiliate and in 2015 TripAdvisor ranks it as the third best museum in the country.

The museum as a whole highlights the contributions of American shipbuilding to the war effort. Particular emphasis is placed on the role of the “Higgins boat” landing craft. The curators also remind museum visitors that the U.S. Merchant Marine suffered a higher casualty rate than any other U.S. branch of service.

New York/New Jersey, Thursday, Dec. 17, 1200-1600, at the Noble Maritime Collection (same as last year), 1000 Richmond Terrace Building D, Staten Island, NY. This event will include both the Offshore Group and the Atlantic Maritime Group.

SCAM TARGETS MERCHANT MARINERS

Two MM&P members have reported that telephone scammers have contacted members of their families with bogus stories in an attempt to extort funds. The ploy is a variation on an oft-used scam asking loved ones to urgently send money for medicine, lost luggage, ransom or bail. In the two cases that were reported by members, the scammers may have gleaned information from social media postings. For this reason, the members have stopped using social media to log their travels and suggest other mariners may want to consider doing the same.

/ MITAGS ACADEMIC NOTES /

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Please note the special addition to our on-campus schedule of MSC classes marked with an asterisk (*), which are not normally scheduled to be held at MITAGS.